RAPAPORT... Diamond dealer David Abraham has filed an appeal with the New York Supreme Court regarding the court's decision to dismiss his petition against the New York Diamond Dealers Club's (DDC) December 2008 vote, which changed the club's bylaws. Abraham's attorneys stated that the appeal was, in part, brought on the grounds that the court's dismissal denied their client motion for a preliminary injunction, as well as their ability to collect key depositions for the case. 

Judge Michael Stallman dismissed Abraham's petition, which was filed in February 2009, in March 2010. The petition sought to invalidate the December 2008 bylaws vote on the grounds that some of the members who voted were suspended by default for failing to pay their membership dues. The judge noted in his dismissal, however, that the club members who had not paid their dues were still valid members because they had not been notified by the DDC that they might be suspensed for nonpayment. 

The judge wrote that "A bylaws provision that is inconsistent with the not-for-profit corporation law is void and unenforceable. The court must conclude that automatic suspension provision set forth in Article VII of Diamond Dealers Club's 2006 bylaws cannot be enforced because it runs contrary to the statute." 

For more details, readers may review the complete statements provided by the New York Dealers Club and Abraham regarding the dismissal.